How victory in Portugal could have a bearing on Hyundai’s WRC future plans

A drought ending World Rally Championship victory for Hyundai at Rally Portugal is much more than a redemption story arc for Thierry Neuville and the team. The ramifications of this win and the results that follow this year will likely play a crucial role in persuading Hyundai to commit to its future to the WRC.

There has been uncertainty hanging over Hyundai’s future for several years. It was only at Rally Finland in July last year that the Korean marque confirmed it would continue in the championship for 2026, though a decision for 2027 is yet to be made.

The manufacturer has already ruled out designing an all-new WRC car in time for the launch of next year’s technical regulations, so if it does appear in 2027 it will be with its Rally2 car that will be eligible to compete in the top class.

It has been an incredibly challenging period for the team. Until last weekend’s huge triumph in Portugal, Hyundai has been comprehensively beaten by rival Toyota on the stages this year, despite herculean efforts to improve and rectify the i20 N Rally1 car’s weaknesses.

Behind the scenes there has been significant staff turnover, clearly not helped by the uncertain future for the operation. Neuville perhaps outlined the situation the best when he analysed what this victory meant to him and the team.

“It has definitely been the most frustrating [time of my career] for sure,” said the 2024 world champion. “In the situation we are in, not knowing what is the future [for Hyundai in the WRC] and people leaving [the team], not winning and not getting podiums, for sure it is hard to be optimistic for what the future should bring. But again the rally has shown us this weekend we need to carry on believing, working hard and not giving up and we get the payback." 

Neuville took Hyundai's first victory of 2026 in Portugal

Photo by: Diogo Cardoso - Getty Images

At the end of the day manufacturers only commit to spending millions of euros on motorsport campaigns to be competitive and ultimately win. It is a huge marketing exercise to showcase its brand in the hope that proof of the product through the crucible of motorsport will translate to sales. So there is always pressure to perform.

It is why last weekend’s victory in Portugal is more than simply just a win. It is proof that Hyundai is still a force in the WRC, which can only provide positive reinforcement to the manufacturer’s board when it comes to analysing whether it should continue to pump millions into its WRC programme for the future.

Of course, one win is not enough on its own, but it's certainly a positive step in the right direction as the clock on confirming its future continues to tick down. And given Hyundai is confident in its pace on gravel for the second half of the year, which features seven close surface events, the next few months could be critical.  

“The Rally2 is an option [for next year] and that is being discussed to do the WRC2 championship, but we don’t see it really as an option to fight with WRC27 cars, to be able to beat them" Francois-Xavier Demaison

Hyundai sporting director Andrew Wheatley said: “It means everything for the team. Everybody has put so much effort in from the start of the year. It is not just the hours, but the dedication to optimise everything and the results haven’t reflected the work.

“I think every step forward is a positive step. The future of the team will not be decided by one event or one result, but if you can cumulatively keep pushing and make sure we make a nuisance of ourselves in the championship, we put ourselves in a better position.

“It is easier to convince everybody [at Hyundai to continue]. The bit that is really important is to show from the first shakedown we can fight and the other thing that is really important is the car has had zero technical problems. The team has worked perfectly through the weekend so from that perspective we can be confident that has been a big factor.”

What is the state of play for Hyundai in WRC 2027?

The WRC will introduce a new ruleset in 2027

Photo by: Toyota Racing

Speaking at Rally Portugal before Neuville and Martijn Wydaeghe claimed victory, Hyundai’s technical director Francois-Xavier Demaison outlined the current situation the marque finds itself in regarding committing to 2027.

When asked about the timeframe for a decision for next year, he told Autosport: “First we have to have good results with our current car and that is the priority. We have to try to convince them [the board] to keep putting money into the WRC.”

As it stands, the only way Hyundai will be present in the WRC next year is if it commits to running its Rally2 car. Under the FIA’s new 2027 regulations, the concept is to have the all-new cost capped WRC27 cars compete alongside Rally2 machines in one top class. The FIA is confident there won’t be a significant disparity between the two sets of regulations and in theory both types of cars will be able to challenge for wins.

However, right now there are many unknowns about how the two cars will perform against each other. The FIA has previously stated that it plans to adjust the minimum weights of the cars at the start of the year should it need to ensure parity. It is in close communication with Toyota to understand the performance of its WRC27 prototype car, which is currently the only car that has begun real world testing.

But Demaison believes it will take more than simply adjusting weights to allow Rally2 cars to regularly compete with the WRC27 cars. “The Rally2 is an option [for next year] and that is being discussed to do the WRC2 championship, but we don’t see it really as an option to fight with WRC27 cars, to be able to beat them," he said.

"Today there are too many differences in the rules that will make it difficult to compete. Tarmac is already going to be very difficult because of the track [width] of the car and the aero is going to be a big plus on the WRC27 car and the transmission and set up options.

Demaison is pessimistic that the Rally2 cars will compete with WRC27

Photo by: Hyundai Motorsport

“The [WRC27] suspension will have more freedom to accommodate tarmac and gravel. The double wishbone suspension for sure will have more reliability in the rough rallies, there will be an advantage compared to [our current] McPherson suspension. All this together on tarmac and slippery rallies, the double wishbone will have an advantage and on rough rallies they will have a big advantage on reliability and capability for the driver to go faster through the rough conditions. It does not leave too many rallies where a Rally2 or a Rally2 plus can be competitive.

“I don’t say it is impossible [to ensure the two cars can compete evenly] but it needs [work] to be done. The [minimum] weight will not compensate for everything.”

This is just one detail that is holding back any sort of commitment for the future. Another is that the WRC is about to welcome a new commercial rights holder and potentially a new direction. The sale process of the current WRC Promoter is understood to be in its final stages, with French automotive company Cosmobilis, led by former Lotus and McLaren Formula 1 team boss Eric Boullier, the leading candidate. This is a key detail that automotive manufacturers will weigh up when considering whether to commit to the championship.

“Toyota is a different situation, as Mr Toyoda is a motorsport enthusiast so it is easier as they just have to convince him. He loves motorsport and for him it is important to do motorsport" Francois-Xavier Demaison

Right now, without these details, a manufacturer committing millions of euros would be seen as a gamble by a board of directors. “For sure, it doesn’t help as we don’t have a clear view of what the future will be,” Demaison added. “It is also why we never really decided to go to the new rules [right now] because there are so many question marks about the future of WRC.

“Toyota is clearly committed [to 2027] but from our side we wanted some guarantees of what is the future and still we don’t have a promoter signed, and an idea what will be the future. For a manufacturer it is a marketing project we don’t just go in.

“Toyota is a different situation, as Mr Toyoda is a motorsport enthusiast so it is easier as they just have to convince him. He loves motorsport and for him it is important to do motorsport.

“The majority of manufacturers right now are not like that situation. For us, for next year we want to know what will be the balance between Rally2 and WRC27 car, but the main thing is to know where rallying is going.

“In the rules there have been many discussions that there could be freedom of powertrain in the future, but nothing has been decided. We need to know about promotion and where this WRC is going.” 

Question marks remain over Hyundai's future

Photo by: Diogo Cardoso - Getty Images